STI were struggling to cross its previous week high but can’t able to cross that level and traded in a same range however closed down from opening.

Week starts with higher opening @ 3150.74 levels and then it fell down and made week low at 3115.80 below 3120 support level. After taking support on lower levels it recovers and made high of 3155.89 and then closed at 3147.33 with gain of 3.51 points up by 0.11% wow basis.

Macroeconomic factors:

Singapore’s non-oil domestic exports (NODX) beat expectations to grow 6 % year-on-year in December, turning around from a revised 8.9 % fall in November to stage its strongest rise in more than a year.

Month-on-month, the NODX also rose a seasonally-adjusted 9.2 % in December, reversing November’s 4.2% contraction. This too, beat the median forecast of 2.8%.

STI formed candlestick pattern called Tweezers top, where 2 consecutive candles shares a same level of High and cant able to cross this high. Here in STI faced resistance @ 3153-3155 mark from last 2 weeks and cant able to sustain above this. The Tweezers Top reversal pattern is extremely helpful because it visually indicates a transfer of power and sentiment from the bulls and the bears.

For the coming week we can expect some more upward move if it will maintain above 3155 levels than it could touch 3190-3220 mark and on the other side if STI crossed its 3120 mark then we will see more downside movement.

STI Resistance:

STI having Resistance @ 3155 and above this level it may take resistance from 3175-3190 levels.

STI Support:

STI having nearest support @ 3120 below this 2995-2965 will be the support area for market.

Technical Indicators:

Technical indicators are in downtrend .MACD, RSI and CCI all are recovering.

Market Review: STI recovers from its yesterday’s losses and closed with good recovery above 3135 level. Technical view on STI

STI Day Performance

Open

3131.33

High

3146.77

Low

3131.33

Close

3143.25

Change(Points)

+19.50

% Change

+0.62%

Volume

3423.3M

Rise

249

Fall

137

Unch

403

Market forecast:

STI opens with gap up @ 3131 level above its yesterday’s close, the gap window made by yesterdays close and todays open of almost 10 points.

Today STI formed a candlestick pattern called belt hold, which is a long white candle who does not have lower shadow but having a small upper shadow it opens low and closed near to day high as formed a small upper shadow. Belt Hold candle is a single candle which is highly bullish candlestick pattern.

For the coming days STI have to maintain above its 3120-3140 mark, if STI maintain this level then we can upside move soon, on the other side if it would not be able to maintain this than index can lose more.

STRAITS TIME LEVELS

Support 1

3120

Support 2

3105

Support 3

3090

Resistance 1

3155

Resistance 2

3175

Resistance 3

3195

Support:

STI having immediate support @ 3120 level and below this level it can take support @3105-3090 will be the support zone for STI.

Resistance:

STI having immediate Resistance @3155 and above this level it may take resistance @ 3175-3195

Technical indicators:

Technical indicators MACD, RSI and CCI are turning down.

Top 5 Gainers

Scrip Name

CMP

%change

Jardine C&C

39.4

4.84

JSH 500US$

34

2.75

JMH 400US$

55.87

2.53

CapitaMall

1.88

1.35

SGX

7.12

1.28

Top 5 Losers

Scrip Name

CMP

%change

SIA Engg

4.96

-0.6

ComfortDelGro

1.975

-0.5

StarHub

4.22

-0.47

GLP

2.94

-0.34

ST Engg

3.86

-0.26

IMPORTANT FACTORS:

Home-buying sentiment turns extra cautious. According to Colliers International, overall private residential property prices are expected to at most slip by 5% in 2014, following 2013’s moderated 1.2% increase.

Corporate Action as on 16th January 2014

Company Name

Type

Expiry Date

Record Date

Date Paid/Payable

Particulars

Westminster

EGM

AIMSAMPI Reit

EGM

Stock for 16th January 2013:

HPH TRUST US$: stock is taking resistance @ 0.680 mark from 8 weeks this level is 50 day MA mark. If this will cross 0.68 marks then it will touch 0.750-0.800 in coming days.

HPH TRUST US$ is in consolidation phrase after taking support at lower levels so indicators are already in bullish zone.

Week starts on positive node but after some range bound movement, Index crossed its support level and fell badly below its 3 month lower level Singapore underperforming the region as fears over a possible reduction in the U.S. Federal Reserve’s stimulus dented the sentiment and U.S. job data.

Week starts @3177.87 and then it recovers some point and made week high @ 3197.09 and it faced resistance at that level and fell badly breaching all the support level and made week low below 3100 @ 3098.80 and finally closed @ 3114.17 with loss of 62.17 points down by 1.96% wow basis.

Like this:

Market Review:STI shares fell on the 4th continuous day, and closed well below the 50 & 200 day MA levels after minutes of the US Federal Reserve’s October meeting indicated possible stimulus withdrawal at one of its next few meetingsSingapore shares open with gap down @ 3175.70 and then just made day high @3176.76 and then it traded lower side and made day low @ 3158.40 and then it recovers and closed @3172.38 with loss of 11.85 points down by 0.37%
Some 1.44 billion shares, valued at S$948.3 million were traded. Gainers numbered 136 while losers numbered 271.
Singapore raised its full-year growth forecast for 2013 to between 3.5 and 4.0 % after third-quarter GDP grew 5.7 % from a year ago, helped by further signs of a recovery in manufacturing and continued strength in services.

Market forecast:STI closed below its 50 & 200 day MA level and also closed with recovery.STI formed a candlestick pattern called “Hammer” A hammer is a type of bullish reversal candlestick pattern, made up of just one candle, The candle looks like a hammer, as it has a long lower wick and a short body at the top of the candlestick with little or no upper wick. here the hammer form in a downtrend this is a sign of a potential reversal in the market as the long lower wick represents a period of trading where the sellers were initially in control but the buyers were able to reverse that control and drive prices back up to close near the high for the day, thus the short body at the top of the candle.
After seeing this chart pattern form in the market most traders will wait for the next period to open higher than the close of the previous period to confirm that the buyers are actually in control.
Two additional things that traders will look for to place more significance on the pattern are a long lower wick and an increase in volume for the time period that formed the hammer.

Support:STI having immediate support @ 3155 level and below this level it can take support @3135-3115 will be the support zone for STI.

Resistance:STI having immediate Resistance @3195 and above this level it may take resistance @ 3215-3235